It looks like the free lunch RI AG Patrick Lynch promised the residents of Rhode Island may end up being very expensive indeed both for the State and its legal team of Motely Rice.
In the first step in recouping 9 years of legal fees from the state for the litigation that, according the the State Supreme Court “should have been dismissed at the ouset” Sherwin Williams (SHW) has asked a judge to force the state to pay more than $242,000 for the cost of a special master who evaluated cleanup plans, transcript fees and conference call charges.
According to lead paint watcher Jane Genova:
“That first step by the three defendants is a motion to the RI Supreme Court for reimbursement of what it coughed up – $242,271.21 – in complying with the court order to work with the Co-Examiners and their assistants on abatement. That order was made even though the verdict was still being appealed. During the RI Supreme Court oral arguments, the Justice asked if that abatement process was still under way. The pathetic answer: Yes.
On August 15th, at 11 AM, before Superior Court Judge Michael Silverstein, that motion will be presented. As Brandie Jefferson reports in THE PROVIDENCE JOURNAL, “A spokeswoman for Attorney General Patrick Lynch did not immediately return a call seeking comment.”
The next step will be to seek reimbursement for some of the actual litigation costs such as filing fees and deposition transcripts.”
I have discussed here the need for a shareholder suit to recoup legal costs and it is great to see Sherwin taking the matter into it own hands.
My guess is down the road this will be settled by the State. It would be the height or irony thought. A suit brought essentially to extort a settlement from the paint companies will end up forcing the State and its attorney’s to do the same to get themselves out of the mess they created.
Download Motely Rice / Rhode Island fee agreement here
Disclosure (“none” means no position):Long SHW
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